Many people are banking on Eth2.0 to solve the biggest problem facing the current Ethereum network. The implementation of Phase 0 of this new algorithm is all set, as early as December 1st we may see it go live.
There is just one catch to the Phase0 release. This new phase represents the switch of the network’s validation method from Proof of Work to Proof of Stake. To do so there must be a network of validators staking ETH.
ETH2.0 developers established a minimum of 524,288 ETH in the staking deposit contract before the Beacon Chain (Eth2.0 Phase 0) can ship. There is currently about 19% of the required amount in the staking contract, at this rate it is estimated the Beacon Chain will ship halfway thru January 2021 (read Here).
Now as we mentioned in a previous article, the exact date is not such a big concern. The main point is that the technical issues involved in launching phase 0 have been solved.
The Ethereum main net is the backbone of the Defi revolution we witnessed this year. The implementation of these upgrades to the network will allow it to respond to the increased demand.
Ethereum’s price has ballooned on this news. Some analysts even picture it reaching USD 900.
The hype surrounding the launch of Eth2.0 phase 0 has increased interest on ETH. But the price action in this case would seem to be supported by the added value that Phase0 will bring to the network.
It must be noted that there is always risk associated with dealing in cryptocurrencies. This is an unregulated market, so care must be exercised to contrast the information provided in this article before you commit any funds. This article is not intended as financial advice.
